Info Edge Shares Jump 4% on Q2 Update; Billings Rise 12.8% YoY

Info Edge’s Q2 Performance Sparks Investor Optimism

The latest business update from Info Edge has led to a notable surge in its share price, reflecting positive investor sentiment.

Market Reaction to Q2 Update

Info Edge shares jumped 4.4% on Friday following the company’s robust Q2 business update. The stock opened at ₹1,189 and reached an intraday high of ₹1,235 on the NSE, reflecting a strong recovery after a recent decline. As of mid-morning trading, shares were priced at ₹1,222.60, outperforming the benchmark Nifty 50, which was down 1.21% at 22,500.

Vipin Kumar, AVP of research at Globe Capital Market, noted the positive momentum in the stock’s chart structure, suggesting that investors may consider buying if the price exceeds ₹1,250, with a target of ₹1,400. This technical outlook indicates a constructive price pattern, which could attract further investment.

Revenue Growth Projections

Nuvama’s analysis anticipates a 13.7% year-on-year revenue growth for Info Edge in Q2FY27, driven largely by the recruitment business. The Naukri platform is expected to see a 15.1% increase in revenue, while other segments like 99acres and Jeevansathi are projected to grow by 15% and 14.7%, respectively. However, the Shiksha segment is expected to face a decline of 10% year-on-year.

On a quarter-on-quarter basis, revenue is estimated to rise by 2.9%, indicating steady growth. Despite this, the earnings before interest, tax, depreciation, and amortization (EBITDA) margin is expected to decline slightly by 10 basis points to 43.9%, suggesting stable margins amid growth.

Billings Breakdown

In its latest update, Info Edge reported standalone billings of ₹822.3 crore for the second quarter, marking a 12.8% increase from ₹729 crore in the same period last year. For the first half of FY27, total standalone billings grew by 13.5% to ₹1,559.3 crore, up from ₹1,373.2 crore in the previous year.

The recruitment solutions segment saw billings rise 12.6% to ₹613.8 crore, reflecting the continued demand for hiring solutions in a recovering job market. This growth is crucial for Info Edge, as it underscores the resilience of its core business amid broader economic challenges.

Key Highlights

• Info Edge shares rose 4.4% following a strong Q2 business update.
• Standalone billings increased 12.8% YoY to ₹822.3 crore.
• Recruitment segment billings grew 12.6% to ₹613.8 crore.
• Nuvama projects 13.7% revenue growth for Q2FY27.
• EBITDA margin expected to decline slightly to 43.9%.

Investor Note: Investors should consider the positive momentum in Info Edge’s stock and its strong growth prospects, particularly in the recruitment segment, while remaining cautious about potential margin pressures in the upcoming quarters.